Stakeholders in the crypto technology sector have called on the federal government to consider India's model in handling the crypto regulation issues in Nigeria.
The calls came after India recently resolved the rift it had with Binance over allegations of violating operating rules.
As a way of settling the issues, India's Financial Intelligence Unit (FIU), had slammed a fine of $2.25 million on the cryptocurrency exchange, and had asked it to register as a reporting entity and allowed it to resume operations normally.
For what they termed a mature and more profitable way of handling crypto regulation issues, some tech experts, particularly crypto trading professionals asked Nigeria to borrow a leaf from India and end the lingering empasse with Binance.
The cryptocurrency exchange is facing a trial in Nigeria for money laundering and tax evasion charges, which led to the arrest and continued detention of one of its executives, Tigran Gambaryan.
At a recent event in Lagos, a crypto trader, Mark Nduagibe, while fielding questions from tech reporters said: "What we are trying to do is to show Nigerians that crypto is not magic, it's not ponzi, rather it is a standard, genuine technological trading system.
"As the world is experiencing an evolving landscape of crypto regulation, we want Nigeria to be counted as early adopters.
"For instance, we all can see how India maturely handled the issue with Binance over alleged operating as a reported entity without registration by imposing a $2.25 million fine.
"That marks a significant milestone in crypto regulation. That is what Nigeria should do instead of allowing the Exchange's executive languish in jail."
After settling India's impasse, Binance described it as an achievement, which marks its 19th global regulatory milestone and underscores its commitment to adhering to anti-money laundering (AML) standards and fostering a secure, transparent, and efficient ecosystem."
Nduaguibe, lamented that India's approach to regulating Binance contrasts sharply with that of Nigeria, adding that while India opted for a balanced resolution through dialogue and regulatory compliance, Nigerian authorities have taken a far more aggressive and punitive approach.
Most notably, the arrest of Tigran Gambaryan, a prominent figure in the industry.
Another trader who introduced himself as Joshua Micheal, corroborated Nduagibe, saying, "As the global cryptocurrency market continues to expand, the need for effective and fair regulatory practices becomes even more critical. India's recent resolution with Binance shows that regulation can be rigorous without becoming oppressive. It provides a blueprint for fostering innovation and growth while respecting the rights of individuals--an approach that Nigeria and other nations should adopt to create a thriving and sustainable crypto ecosystem.
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"India chose to hold Binance accountable through financial penalties and enforce stringent regulatory standards, all while allowing the company to continue operating.
"This has ensured that the rights of individuals are respected, preventing the damaging consequences of imprisoning employees as a means of exerting pressure. India's decision to focus on compliance rather than criminalisation showcases a progressive model of regulation--one that ensures both oversight and innovation thrive without resorting to punitive measures that can disrupt business operations and undermine investor confidence."
